Subpart F Income Is ________

question 25

Multiple Choice

Subpart F income is ________.

• A)usually earned by a branch rather than a corporation
• B)not taxed to the parent unless a dividend is remitted
• C)not eligible for the tax credit
• D)passive and usually derived from operations in a tax-haven country

---

Definitions:

Asset Turnover Ratio

A ratio measuring how effectively a business uses its assets to produce sales income.

Property, Plant, and Equipment

Tangible long-term assets owned by a business, used in the production or supply of goods and services, such as buildings, machinery, and vehicles.

Accumulated Depreciation

It represents the total amount of depreciation expense that has been recorded for an asset over its life.

Intangible Assets

Non-physical assets owned by a business, such as patents, trademarks, and copyrights.